Quite a busy week for cryptocurrencies, as last Tuesday, September 6, the latest update of Ethereum was released, marking the beginning of one of the most anticipated events of recent years, and without a doubt one of the most important in the history of cryptocurrencies, “The Merge” of Ethereum. As a consequence, there has been great enthusiasm on the part of investors, leading the crypto-asset market to have a fairly positive week with strong rallies.
The first phase of Ethereum’s “The Merge”, an event that will completely change the way the Ethereum blockchain works, changing its protocol from Proof-of-Work to Proof-of-Stake, has been launched on the past 6 September at 7:34 AM (EST), with the start of the Bellatrix platform update.
Bellatrix is a hard fork, that is, an update for Ethereum Virtual Machine, the part of the network responsible for safeguarding decentralized applications. This update will bring better security, better performance, and greater scalability to the network, according to the Ethereum Foundation. This is laying the final preparations for the implementation of the Ethereum 2.0 network, seeking to create an ecosystem with the capacity to sustain mass adoption.
However, the network experienced significant problems when carrying out the hard fork, as 5% of Ethereum validators went offline, meaning 9% of blocks were lost, when usually just 0.5% get lost.
We must be very aware of any news, since the next update that Ethereum will have before “The Merge” is the Paris update, which will mark the beginning of the completion of this event. It is said in various media that the Paris update will take place between September 13 and 15.
In other news, last Thursday a whale made a sale of 5,000 Bitcoins, which he kept for 9 years, adding up to an amount of 95 million dollars. This gave him a profit of about 2,800% due to the increase in price of the largest cryptocurrency in the world. However, there has been a lot of speculation about this great investor, since just a couple of months ago Bitcoin was worth three times what it is worth now, and without a doubt a lot of people were surprised and even worried by the decision to this individual by liquidating such a large position. Also, it should be noted that BTC had a growth of more than 10% the next day. Do you have information about an upcoming sharp crash, or did you just need your capital for other things?
It’s not all Ethereum this week! One of the most important Bitcoin enthusiasts in the world, Michael Saylor, assured that the Bitcoin Lightning Network is the most important development that is being created in the world of technology, since it will help scale Bitcoin for billions of customers, significantly reducing costs and enabling the creation of decentralized applications.
Saylor attended a specialized Bitcoin conference, where he announced that MicroStrategy is in the early stages of developing its Lightning Network infrastructure. This infrastructure consists of several projects, such as the Lightning Enterprise Wallet, Enterprise Lightning Servers, and Enterprise Authentication.
Also, MicroStrategy would be preparing to release nearly $500 million worth of Class A common stock on NASDAQ, the world’s largest technology exchange, to purchase a larger amount of Bitcoin, this being the largest corporate participation that exists.
The death of Queen Elizabeth was one of the most famous events the previous week, and it could not go unnoticed in the world of cryptocurrencies, since the market vultures capitalized on the event, just a few hours after her death.
More than 40 meme coins were launched yesterday, some with “more success” than others. The most viral tokens, Save The Queen and Queen Elizabeth Inu, processed over $700,000 and $200,000 in transaction volume respectively. Furthermore, Queen Elizabeth Inu grew over 23,000% on Binance. For its part, the price of Save The Queen tokens grew by more than 1,500%. Unsurprisingly, there was a huge crash moments later, and the creators made huge amounts of money. In addition, various collections of NFTs were created, all with works related to Queen Elizabeth.
Bitcoin is above $22,300, having broken a strong resistance, roughly to a next top near $23,300. Could it be that this strong upward momentum could breach that area? Or is it a big pullback fueled by this week’s enthusiasm to then continue into a bear market?
BTC/USDT 1D (TradingView Chart).
For its part, Ethereum is trading above $1,730, with a support level quite close to $1,770. It should be noted that very busy days are coming for this asset, since the updates and the culmination of “The Merge” event will be carried out.
ETH/USDT 1D (TradingView Chart).
A lot of optimism generated by great technological advances and improvements for projects in the world of blockchain technology and cryptocurrencies, in the midst of a very complicated economic situation. We must be aware of the entire process of Ethereum updates, since it will be a critical event for the future of the most important smart contract platform on the market. Without further ado, we wish you an amazing week.
